Cloud, Local or Hybrid IT Solution
What is the best IT strategy for your business: fully cloud, local or hybrid? We help you make the right choice.
“Should I move to the cloud?” It’s a question that concerns many SME business owners. The answer is rarely black and white. In this article, we compare the three approaches - fully cloud, local and hybrid - so you can make an informed choice.
The three models
| Model | Description |
|---|---|
| Fully Cloud | All your IT runs at external providers |
| Fully Local | Own servers on-site or own data centre |
| Hybrid | Mix of cloud and local |
Fully Cloud
All your IT runs at external providers. Think of:
- Microsoft 365 for email and documents
- SaaS applications for your accounting, CRM, etc.
- Online workplace or Windows 365 for your desktop
You have no servers on-site - only laptops/devices that connect to cloud services.
Fully Local
You have your own servers on-site (or in a data centre you manage yourself). Applications run on-premise, data is stored locally.
Hybrid
A mix of both. Some workloads in the cloud, others local. For example: email in Microsoft 365, but your ERP system on a local server.
Cloud: pros and cons
70%
of SMEs
use cloud services
30%
cost savings
possible with optimisation
99.9%
uptime
with major providers
Pros
Cons
Local: pros and cons
Pros
Cons
Hybrid: the best of both worlds?
Most SME businesses end up with a hybrid model. Not out of principle, but from practice.
| Workload | Typical model |
|---|---|
| Email and collaboration | Cloud (Microsoft 365) |
| Standard office work | Online workplace or local laptops |
| Specific applications | Local server or private cloud |
| Backup | Local and cloud |
When hybrid makes sense
Hybrid considerations
How to make the choice?
Inventory your applications
Make a list: is there a SaaS alternative? Does it need to be local? What are the data requirements?
Determine your priorities
Control vs. flexibility vs. costs - what weighs most heavily?
Calculate (TCO)
Total Cost of Ownership over 5 years, including hardware, management, licences
Consider the risks
What if a provider goes bankrupt? Server crashes? Ransomware?
Start small
Begin with low-hanging fruit like email to Microsoft 365
TCO calculation over 5 years
Trends: where is it heading?
The trend is clearly towards cloud, but not for everything.
| Workload | Trend |
|---|---|
| Email and collaboration | Cloud |
| Standard business apps | Cloud (SaaS) |
| Desktop (VDI/DaaS) | Cloud |
| Backup and DR | Cloud |
| Industrial systems | Local |
| Legacy software | Local/hybrid |
| Strict compliance | Local/private cloud |
Practical example
A typical SME business (30 employees, accountancy firm):
80%
in cloud
after migration
20%
local
for specific needs
35%
cost savings
after optimisation
Result: Hybrid model with emphasis on cloud, minimal local footprint.
Conclusion
There is no universal “best” answer. The right choice depends on your specific applications and workloads, your priorities, your risk appetite and your growth expectations.
Barion Team
IT specialists making complex technology understandable for SME entrepreneurs.
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